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Computerland said it performed strongly in contracted revenues, up 49.3 per cent, largely due to O2 and British Sugar wins.

But it wasn't all good news, with project services revenues remaining flat at £2.9m for the year.

Nottingham-based Computerland also saw the gross margin on product sales decline slightly, and blamed "market pressure and a higher proportion of sales to larger clients".

Chairman and CEO Graham Gilbert said: "During the course of the current year we will be increasing investment in sales and marketing to ensure that we maximise the growth potential of our service offerings."

The dividend paid to shareholders increased 25 per cent to 7.5p.

Trading is mixed, however, with shares down 2.72 per cent on the London Stock Exchange.